Clever marketing and growing demand has seen an increase in
longer-term rentals for franchise dealers who run their own car
hire operations, according to motor industry support services
specialist Network
Automotive.

Network Automotive, which manages its own rental programmes on
behalf of several major manufacturers, reported a greater number of
rentals running into weeks and months – leading to an increase in
profitability and reduction in administration.

Managing director of Network Automotive, Colin Bruder said: “It
is also a reflection of the trend in the jobs market towards
shorter term contracts. If an individual or group of employees are
taken on for 12 months to service a particular contract, it makes
little or no sense to buy or lease vehicles for them. 
 
“In these situations, rental is a good solution and dealers are
starting to take a slice of that business through better sales and
marketing to fleets.”

Bruder also said that the traditional advantages of dealer based
rental also applied to the trend towards longer-term hire.
 
“Getting customers behind the wheel of one of your models increases
the chance that they will actually buy a car from your dealership
in future. If a fleet driver has driven one of your cars for three
months and liked it, there is every chance they will choose one as
their permanent company vehicle.”